Cybersecurity in 2025: What SMBs Need to Know About the Changing Landscape
Cybersecurity is changing - again. With the recent shift in executive branch leadership, new policies and priorities are on the horizon that could impact how businesses like yours protect their data and operations. The previous administration focused on regulatory compliance and government oversight, while the new administration aims to streamline processes and prioritize private-sector-driven solutions.
It is important to note that regardless of the political shifts, cyber threats aren’t slowing down. That’s why it’s more important than ever to stay informed, stay proactive, and take control of your cybersecurity strategy.
How Will Cybersecurity Policies Evolve?
The previous cybersecurity policies emphasized strict compliance requirements, mandatory breach reporting, and government oversight. These policies aimed to create standardized security measures, particularly for businesses working with federal agencies or handling sensitive data.
With the recent policy rollback, the focus is expected to shift toward:
- Fewer compliance mandates: Businesses could see fewer regulatory requirements, allowing for more flexibility in their cybersecurity approach. If anything, this will enhance the value of frameworks such as CIS Controls, NIST CSF, and others as they provide a roadmap to improved cybersecurity
- Increased reliance on private-sector solutions: Mandated compliance often results in a one-size-fits-all approach which tends to be more burdensome on smaller organizations. A market-driven approach could encourage businesses to adopt their own security strategies closely tailored to their needs.
- Faster implementation of new technologies: Some cybersecurity frameworks are rather vague in stating what works best to meet the nature of the required outcome. Industry best practices often evolve faster than frameworks are updated, resulting in a reliance on outdated methodologies. This shift is likely to result in a more responsive evolution of existing and emerging frameworks.
The big question is: What does this mean for your business?
What SMBs Need to Know Right Now
Small and mid-sized businesses often bear the brunt of cyberattacks. Cybercriminals target SMBs because they know resources are limited and security measures may not be as robust as those of larger enterprises. With cybersecurity policy changes in motion, here’s what you need to consider:
1. Compliance May Change, But Security Threats Won’t
Fewer regulations don’t mean cyber risks disappear. In fact, cybercriminals often thrive in environments where oversight is reduced. Businesses should continue to follow industry best practices such as:
- Adopting a Zero Trust security model to minimize internal and external risks.
- Using Multifactor Authentication (MFA) to protect access to critical systems.
- Regularly updating software and applying patches to close security gaps.
Takeaway: Stay ahead of threats by following proven security frameworks like NIST or CIS, even if compliance rules are relaxed. Regularly review updates to trusted frameworks like NIST and CIS to ensure your business remains aligned with evolving security best practices.
2. Breach Reporting and Transparency May Decrease
With potential changes to mandatory breach reporting, businesses may no longer be required to disclose incidents publicly. While this might reduce administrative burdens, it could also lead to a false sense of security.
What to do:
- Stay up to date on relevant changes to existing compliance and reporting requirements (i.e. FTC Safeguards, HIPAA, SEC/FINRA, etc.)
- Ensure that you have established a well-defined incident response plan and implement internal reporting processes to catch and respond to incidents early.
- Invest in cybersecurity insurance to cover potential breach-related expenses.
- Work with a trusted IT provider to conduct regular security assessments.
Takeaway: Reporting requirements may change, but proactive monitoring and response planning should not.
3. Cyber Insurance Will Be More Important Than Ever
Even before this shift in policy, cyber liability insurance carriers, having taken a bath during the Covid-19 pandemic had already increased the minimum requirements to qualify for a policy. Without stringent government regulations guiding cybersecurity practices, insurance providers are likely to tighten requirements further to reduce their risk exposure. Businesses will need to demonstrate robust security measures to qualify for affordable policies.
What to do:
- Ensure your business meets key baseline security controls such as MFA, encryption, endpoint detection and response (EDR), and secure backup practices - these are often the minimum requirements for cyber insurance eligibility.
- Perform a thorough gap analysis, and conduct regular risk assessments to identify potential gaps due to emerging threats.
- Ensure that your network documentation is up to date, including hardware, software, and data inventories.
- Establish clear cybersecurity policies and incident response plans.
Takeaway: Insurance providers will become the new "watchdogs," making cybersecurity best practices a necessity.
4. The Private Sector Will Set the Pace
With fewer mandates from federal agencies, the responsibility of cybersecurity will fall more heavily on businesses themselves. This means SMBs should stay tuned to industry leaders, cybersecurity vendors, and professional organizations to stay ahead of evolving threats. The emphasis of business cybersecurity will be less about checking boxes and more about developing a cybersecurity aware organizational culture.
What to do:
- Follow cybersecurity news and updates from organizations like CISA and the National Cyber Security Alliance.
- Partner with an IT provider that stays ahead of emerging threats and evolving best practices.
- Conduct regular training to keep employees informed about phishing and other social engineering tactics.
Takeaway: Cybersecurity standards may no longer come from government mandates but from the evolving threat landscape itself.
5. Flexibility Is Key—But Don’t Wait and See
While the new administration may prioritize flexibility and reduced regulatory burdens, “waiting and seeing” is not an option. Cyber threats are evolving every day, and businesses that take a proactive stance will always be better positioned to respond to attacks. Keep in mind that as the use of AI in cybercrime grows, failure to stay abreast of emerging threats will only heighten the level of risk.
What to do:
- Consult with a cybersecurity professional to develop a cybersecurity roadmap tailored to your business’s needs.
- Conduct regular audits and implement necessary security upgrades.
- Take advantage of cybersecurity funding and resources available to small businesses.
Takeaway: Investing in cybersecurity today costs far less than recovering from an attack tomorrow - prevention is always the better investment. Proactive cybersecurity measures will always pay off more than reactive fixes.
Stay Informed—New Cybersecurity Policies Are Coming
While the changes in cybersecurity policy are still unfolding, one thing is certain: Businesses that stay informed and proactive will be best positioned to thrive. As the new administration rolls out its strategy, we’ll continue to provide updates and actionable insights to help your business stay secure.
👉 Stay informed with The Werks - your go-to source for cybersecurity trends, policy updates, and expert insights tailored for SMBs.
Need Help Navigating the Changes?
Whether compliance requirements shift or not, one thing remains constant - your business needs strong cybersecurity defenses to protect against evolving threats.
Schedule a FREE Cybersecurity Assessment today, and we’ll help you:
✅ Identify vulnerabilities in your current setup.
✅ Develop a security strategy that fits your business.
✅ Stay prepared, no matter what changes come next.
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